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A report, set to go before the planning committee on Wednesday, states: “The economic climate is such that the originally intended scheme has not progressed. SDG have stated that they remain committed to bringing forward some form of development on this site.

“In order for them to move forward however, they understandably need to extend the commencement period on the original 2007 planning permission.

“This, they claim, will give them a fall back position with which to progress an alternative scheme which they are hoping to submit in the near future.

“This alternative scheme would retain some of the main components of the original, but would create a more realistic and viable development proposal which could be delivered in this climate.”

A Denbighshire Council spokesman said: “If members resolve to approve this renewal application, we would look to only impose a one year commencement period condition as opposed to the standard five as we are fully aware of the need to take this scheme forward as soon as possible.

“SDG have stated that they are ready to submit a new (deliverable) scheme for planning as soon as the aforementioned Section 73 application is resolved.”

Lee Savage, Development Director at SDG said: “Scarborough Development Group submitted a s.73 application in September 2012 which seeks to extend the life of the existing planning approval. As explained during last year’s public consultation in respect of their revised scheme proposals, its strategy had been to secure this extension before the new application was lodged.

“That is still the case, and it is hoped that an approval will their allow efforts to be directed towards the new application in the next few months.”